Siemens and Nokia have just announced a next step in the consolidation of the telecomms networking equipmant market as they merge their two divisions and create Nokia Siemens Networks which is clearly an inspired piece of branding (not!).
At least the strategic sense behind the move is solid - leaving Nokia to focus exclusively on making handset - which isn't a bad business after all, and leaving Siemens to, well, make light bulbs I guess.
A bunch of jobs will go in the Nokia led merger, but the telecomms networking industry is forced into consolidation since Alacatel and Lucent married. Now expect Motorola and Ericsson to look at a tie up as well.
For anyone that does not have major scale going forwards will struggle to win the leading deals in a space that increasingly looks to fuller service contracts and larger ourtsourcing of mobile networks in particular.